Two new
airline business model concepts that are discussed in Little Airlines, Big Ideas, are by companies like La Compagnie and
WOW. La Compagnie is an airline company
that had a pretty smart idea of making their international flights with
airplanes that are fully 1st Class.
They lose the amount of people that can fit on the plane but gain in
revenue by not charging some $9,000 per ticket but by charging around $2,000 to
$3,000. WOW Airlines is cheap for the ticket, due to them predominantly
operating smaller planes. They make sure
that all of their seats are filled in the plane, which usually isn’t a problem
due to the price of their tickets. Even
though WOW Airlines has very cheap tickets, they add charges for services like
meals, bags, etc.
WOW Airlines
is based out of Iceland, where they operate A320’s predominantly to Europe and
a few East Coast major airports here in the U.S. LaCompagnie is based out of
Paris, where they operate 757’s completely equipped for all first class
seating. They fly from Paris to New
York.
I think WOW
Airlines will be more successful out of these two due to operating to almost
all of Europe. I feel that although
people do love luxurious treatment of first class like La Compagnie offers, but
ultimately they will go after cheaper prices and tickets to get them from point
A to point B.
I don’t
think these airlines will have a huge effect on the global industry due to not
many people even knowing that they exist right now. The major legacies know that these ultra low
cost carriers exist but I feel that they are fearful of them. They honestly dwarf them and if it comes to
the point where more people give a company like WOW Airlines more business it
will force the legacies to match or come close to their prices. I’d much rather fly with a company like Delta
where I know maintenance, pilots, etc. is highly kept up and is a well known
company verse a company like WOW Airlines or the new Baltia Airlines that all
the Flight Technology people know about hanging around Eagle Flight Center.
I agree - I also feel safer with the more "established" airlines, but do you think the general public cares? Or do you think they are focused on the bottom line of their ticket price?
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